Government's production-linked incentive scheme promotes millet-based products
Dec 09, 2024
New Delhi [India], December 9 : The Government of India has introduced the Production Linked Incentive Scheme for Millet-Based Products (PLISMBP) to encourage the use of millets in food products and drive value addition.
According to the Ministry of Food Processing Industries, launched for the period FY 2022-2023 to FY 2026-2027, the scheme has an outlay of Rs800 crore and aims to boost millet-based product innovation while supporting farmers and food processors.
The scheme removes the threshold investment requirement, enabling more participants to access its benefits. Eligible companies must achieve a minimum year-on-year sales growth of 10 per cent over the base year to qualify for incentives.
The focus is on branded Ready-to-Eat (RTE) and Ready-to-Cook (RTC) products in consumer packs containing at least 15 per cent millet by weight or volume.
Initially, 30 beneficiaries joined the scheme. However, with one withdrawal, 29 companies are now enrolled. A key stipulation requires the exclusive use of domestically sourced agricultural products--excluding additives, flavors, and oils--for millet-based food preparation.
This policy has spurred local production and procurement, providing significant benefits to Indian farmers.
Incentive claims for the first performance year (FY 2022-2023) were filed in FY 2023-2024, with 19 applicants submitting their claims.
So far, the government has disbursed Rs3.917 crore to eligible participants, showcasing early success in fostering market growth for millet-based products.
The Government has introduced several measures to enhance the implementation of the Production Linked Incentive Scheme for Millet-Based Products (PLISMBP). These measures include the establishment of a user-friendly portal and the creation of dedicated groups for prompt issue resolution.
Clarifications on scheme guidelines have been issued from time to time to facilitate easy understanding of the scheme Guidelines.
Moreover, regular monitoring and evaluation mechanisms have been instituted, and technical assistance is provided through dedicated teams to facilitate smooth implementation of the scheme. Additionally, weekly meetings with applicants are held to ensure effective communication and progress tracking.
Union Minister of State for Food Processing Industries, Ravneet Singh Bhittu, shared these details in a written reply to the Rajya Sabha.
